The General Block Exemption and
De Minimis Regulations
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The General Block Exemption
Regulation
• Allows you to give aid without having to go
through the approval process. Aid giver reviews
GBER and puts in place processes to ensure
compliance.
• Inform Commission within 20 days via SANI
system
• In May 2014, Commission adopted new GBER.
New rules will be in force from July 2014.
http://ec.europa.eu/competition/state_aid/legi
slation/block.html#gber
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GBER: Main changes from July
• Increased notification thresholds
• Addition of new aid measures and broadening of
existing block exemption categories
• Help with interpretation of GBER: Ability to submit
questions to Commission via BIS. Will be able to view
questions from other MS and response.
BUT:
• Light touch approval process required for evaluation
processes for larger schemes (>Euro150M)
• Transparency requirements: national public register of
individual awards of aid
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Types of Aid Permitted Under GBER
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Regional aid
SME aid
Access to finance for SMEs
Environmental protection
Consultancy and participation in trade fairs for SMEs
Risk capital
R&D&I
Training aid
Disadvantaged and disabled workers
Natural disasters
Social aid for transport for remote regions
Broadband
Culture and heritage
Sport and recreational infrastructure
Investment aid for local infrastructure
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Main changes to Aid for access to finance for
SMEs
• Block exemption of risk finance measures up to €15m to
cover full development cycle (and no cap in Guidelines).
• Less prescriptive; concept of equity by destination to
embrace wide range of aid instruments.
• More refined approach for aid to start-ups, covering
loans guarantees and grants. Maximum grants amounts
can be doubled for small and innovative enterprises.
• New ability to provide aid for alternative trading platfoms,
and for scouting costs in relation to risk finance and startup aid.
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NEW: Aid for infrastructure
• Broadband infrastructure
• Sport & multifunctional recreation infrastructures
• Local infrastructures
– Must have open access & transparency
– Some allow preferential access to private investors
– Aid amount cannot exceed ‘funding gap’
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Aid following natural disasters
• Covers the costs of making good the damage
from natural disasters
– Must be formally & officially recognised as a
natural disaster
– Must be a causal link between the disaster and the
damage
– Can cover 100% of both material damage and loss
of income (maximum of six months)
– Aid must be granted with in four years of the
disaster
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Culture & heritage conservation
• Culture & heritage conservation
– Can be investment or operating aid
– Investment aid shall not exceed funding gap
– Operating aid shall not exceed operating losses & a
reasonable profit
• Aid for audio-visual works
– Aid to the production, pre-production and distribution of
audio-visual works
– Can only be used for ‘cultural products’
– Can tie production to a particular location
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De Minimis Aid
Commission Regulation 1407/2013
• Aid of up to € 200,000 to one company over a 3
year period.
• All de minimis aid over rolling 3 year period must
be cumulated. Aid giver responsible for checking
and ensuring that ceiling is not breached.
• Recipient must be told that they are receiving de
minimis aid and must declare this if offered de
minimis aid in the future.
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Other sources of support
• GBER text
– http://eur-lex.europa.eu/legalcontent/EN/TXT/PDF/?uri=CELEX:32014R0651&from=EN
• De Minimis text:
– http://ec.europa.eu/competition/state_aid/legislatio
n/de_minimis_regulation_en.pdf
• FAQ document expected very soon
• Ability to ask questions directly – via UK state aid
unit - and get response within 15 working days